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"It is fair to say we are focused on upgrading connections to Melbourne airport (Tullamarine).

"We're also focused ... on Avalon.

"There's every chance there could be tens of thousands of people working down there."

Mr Safi said Paragon's proposed airport would be fully operational by 2022 and at least as big as Tullamarine.

It would focus initially on cargo and domestic flights before extending to international tourists.

Fellow fund director Gerard Kennedy said Mr Safi wasn't looking to invest in an airport until he was approached in Dubai.

"He got tapped on the shoulder from some people who said 'we want an airport in southeast Victoria. We want it for this reason. We want to see these huge advantages of that particular area. We want people to be able to fly directly there'," Mr Kennedy told ABC radio.

Shadow attorney-general John Pesutto said that the coalition was "very keen to look at ideas like this in much greater detail".

In 2013, the then-coalition government called for a new airport in Melbourne's southeast to cope with population growth.

Infrastructure Victoria declined to comment on the latest proposal, but its 30-year strategy released in December said a third airport "could potentially offer benefits for both passengers and freight".